24
EPR UPDATED OECD GUIDANCE Cecilia Mattsson, Swedish EPA/chair of OECD Working Party on Resource Productivity and Waste (WPRPW) 7th Regional 3R Forum in Asia and the Pacific, 3 November 2016, Adelaide, Australia

EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Embed Size (px)

Citation preview

Page 1: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

EPR – UPDATED OECD GUIDANCE

Cecilia Mattsson, Swedish EPA/chair of OECD Working Party on Resource Productivity and Waste (WPRPW)

7th Regional 3R Forum in Asia and the Pacific, 3 November 2016, Adelaide, Australia

Page 2: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

• OECD EPR project

• Definition, trends and achievements

• Guidance

– Governance

– Competition

– Design for Environment (DfE)

– Informal sector

Outline

Page 3: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

OECD EPR Project

Page 4: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Objectives:

• Assist governments that are considering introducing new or revisiting existing EPRs

• Update 2001 OECD guidance Manual on EPR

• Build on parallel EU Commission work on EPRs

OECD project on EPR

Page 5: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

• Review of economic literature on EPRs

• In-depth case studies of around 40 EPR schemes covering 5 product groups

• Policy guidance with a focus on:• Governance

• Competition

• Design for Environment

• The informal sector

• Policy dialogues in emerging market economies

The work benefits from financial support from the EU and a number of other OECD member countries

Description of work

Page 6: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

14 country case studies completed

Page 7: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Definition and trends

Page 8: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

OECD definition:

EPR is an environmental policy approach in which producer’s responsibility… is extended to the post-consumer stage of a product’s life cycle

EPR systems

Page 9: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Extended Producer Responsibility is

Expanding

0

50

100

150

200

250

300

350

1970 1975 1980 1985 1990 1995 2000 2005 2010 2015

Nu

mb

er

of

po

lic

ies

ad

op

ted

Year

Cumulative EPR adoption

Cumulative EPR adoption

Page 10: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Extended Producer Responsibility by

product type and instrument

Packaging17%

Electronics35%

Vehicles/auto batteries

12%

Tires18%

Other18%

EPR by product type

Take-back70%

Deposit/Refund

11%

ADF17%

Other2%

EPR by policy

Page 11: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Achievements

Page 12: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

• Reduced disposal and increased recycling

• Reduced burden on public budgets

• Economic opportunities

• Limited impact on DfE

Key messages on achievements of

EPRs

Page 13: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Trends in MSW management

Page 14: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

But significant differences in

performance

Page 15: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Performance of EPRs in the EU

Collection (C) or recycling and

recovery rates (R)

Average producer fees

Batteries 5-72% (C) 240-5400 EUR/t

ELV 64-96% (R) 0-66 EUR/Vehicle

Oil 3-61% (C) 42-231 EUR/t

Packaging 29-84% (R)20-200 EUR/t

(average 92)

WEEE1.2-17.2 kg/cap (C)

(average 6.6) 68-132 EUR/t

Source: European Commission, 2014

Page 16: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Reduction in food packaging in the EU

(2000-2010)

-20% -18% -16% -14% -12% -10% -8% -6% -4% -2% 0%

PET bottle of 1,5 L still water

Aluminium can of 330 ml for soft drinks

Glass bottle of 250 ml for olive oil

Tin can of 125 gr for fish

Plastic bag for 1 kg of pasta

Cardboard box for dry food

% change

Source: PRO Europe

Page 17: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Guidance

Page 18: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

• 3 models with advantages and disadvantages

EPR governance

Multiple PRO

Single PROGovernmentrun

Page 19: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

• All models require strong governmentinvolvement:– To enforce a level playing field

– To enforce environmental standards and targets

• EPR can not be run by the private sectoron its own

• Transparency is paramount for effective government oversight

EPR Governance

Page 20: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

Product Markets

PROMarkets

Collection Markets

Sorting Markets20

TreatmentMarkets

Key markets with competition concerns

Largest market

5-10% of EPR costs

50-80% of EPR costs 10-40% of EPR costs

Page 21: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

EPR and competition

• Competition impact assessments should beintegrated into design of EPR

• PRO established as single operator only if net benefits can be demonstrated

• Services that PROs procure should be procured by transparent, non-discriminatory and competitive tenders – Relevant factors include contract duration,

recovery of sunk costs, and principle of non-exclusivity

Page 22: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

EPR and DfE

• So far little impact on DfE due to use of CPR rather than IPR

• Variable fee CPRs preferable to fixed-fee CPRs

• Modulation of fees according to design is an option, but administrative costs need to be assessed

• Full cost recovery important to maximise incentive effect

Page 23: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

EPRs and the informal sector

• Emerging economies have a large informal sector that has a potentially important role in EPRs.

• Need to distinguish between types and impacts of informal sector:

• Failure to include the informal sector into EPR can undermine them

• Need to register waste pickers and work towards formalisation and professionalisation

• Informal sector should be actively engaged in discussion for establishment of EPRs

Positive impacts Negative impacts

In collection and sorting, the informal sector can provide positive economic and environmental impacts Unsound practices need to be

eliminated (e.g. informal processing)Some evidence that informal systems collect more material than formal

Page 24: EPR UPDATED OECD GUIDANCE - Regional … · Objectives: •Assist governments that are considering introducing new or revisiting existing EPRs •Update 2001 OECD guidance Manual

THANK [email protected]

For further information, please contact Peter Börkey, [email protected] or go to

www.oecd.org/environment/waste